Can Foreigners Buy Property in Japan? Rules, Steps and Costs

Published October 26, 2026

Written by: Licensed real estate broker in Japan, 10 years at a listed real estate company, now a salaried landlord

Run your own numbers

Enter the price, rent, loan and your salary to see the monthly cash flow, the tax refund and a 35-year projection. Runs in your browser.

Open the condo simulator

Short answer

Yes. Japan has no nationality restriction on owning land or buildings.

What you need is the paperwork, cash for the purchase costs, and, for a loan, a residence status the bank accepts.

The steps

Offer
purchase application
Loan pre-approval
if you borrow
Explanation
by a licensed broker
Contract
deposit, often 5–10%
Settlement
payment and registration

Before the contract, a licensed real estate broker (宅地建物取引士, takken-shi) must explain the important matters of the property and the contract in person or online. The explanation and the contract are in Japanese. Bring someone you trust to interpret if needed; the Japanese documents are the binding version. At settlement you pay the balance, and a judicial scrivener (司法書士) registers the transfer of ownership and the bank's mortgage.

Documents you will usually need

Residence card and passport.
Certificate of residence (住民票) from your city office.
Registered seal and seal registration certificate (印鑑証明書). If you have no registered seal, a signature certificate may be accepted; ask the scrivener early.
For a loan: withholding slips, tax certificates, employment details and your residence status.

Costs at purchase: a ¥22 million example

Typical costs besides the price (illustrative)
Cost	How it is set	Example
Brokerage fee (if bought through an agent)	Up to 3% + ¥60,000 + tax	up to ¥792,000
Stamp duty on the sales contract	Reduced rate until March 31, 2027	¥10,000
Registration tax: ownership	Land 1.5%, building 2.0% of the assessed value	depends on the assessment
Registration tax: mortgage	0.4% of the loan	¥84,000
Stamp duty on the loan contract	Standard rate	¥20,000
Judicial scrivener fee	Set by the scrivener	ask for a quote
Lender fees and guarantee fee	Set by the lender	varies
Real estate acquisition tax (months later)	3% of the assessed value (land valued at half)	depends on the assessment

Property tax and management fees for the year are usually split between seller and buyer by the number of days at settlement. The acquisition tax bill arrives from the prefecture a few months after purchase, so keep cash aside for it.

Calculate it

Purchase costs are deducted as an expense in your first-year tax return. Enter them in the condo simulator to see their effect on the year-1 refund.

Loans

Banks decide case by case. Permanent residents can borrow from many lenders; with other visas, banks look at your job, income, years in Japan and the remaining period of stay. Investment property loans are usually variable-rate and priced above home loans. Some banks do not lend to non-residents at all.

Details: rules that can apply to non-residents and special zones

Report under the Foreign Exchange Act (non-residents)

If a non-resident acquires real estate in Japan, a report must be submitted to the Minister of Finance through the Bank of Japan within 20 days of acquisition. A resident agent such as the real estate broker can file it. Some acquisitions are exempt; check the Ministry of Finance Q&A for the current rules.

Land around important facilities

In "special monitored zones" near defense facilities and on remote border islands, buyers and sellers must notify the government before signing a contract for land or buildings of 200 m² or more. This applies to everyone, not only foreigners, and a typical one-room unit is far below 200 m².

Owning from abroad

If you leave Japan, appoint a tax representative (納税管理人) to file returns for the rental income. Rent paid to a non-resident by a business tenant is subject to 20.42% withholding; rent from an individual who lives in the unit is not. See renting out Japanese property from abroad.

Frequently asked questions

Q. Do I need a visa to buy?

A. Not to own property. A visa matters for getting a loan and for living in Japan.

Q. Can I buy in my own name if I do not speak Japanese?

A. Yes, but the legal documents and explanation are in Japanese. Use an interpreter and read the contract terms carefully.

Q. Is a deposit refundable?

A. The deposit is usually forfeited if the buyer cancels after the contract, except under a loan contingency clause if the loan is rejected.

Sources